Man who pleaded guilty to scamming investors sentenced |
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February 21, 2004 – A former insurance broker who pleaded guilty to an investment scam gets 12 years and seven months in prison for fraud after a judge increased his penalty. Richard Drakulich admitted to 12 counts of mail, wire and securities fraud. Investors in five states, including Illinois, lost nearly two point seven million after he promised them returns as high as 120 percent per year in the market for foreign bank notes. Federal Judge David Herndon called Drakulich's actions reprehensible. He increased the sentence beyond the maximum under federal guidelines because there were more than 50 victims who invested money in the pyramid scheme. The case was tried in Illinois because investors who couldn't get their money back contacted the Illinois Securities Department, which investigated. (Associated Press)
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